The Consolidated Financial Statements for the Third Quarter of 2017 include the consolidated income statements, the consolidated statements of comprehensive income, the consolidated statements of financial position and much more.

Economic Position of the Bayer Group

Following the deconsolidation of Covestro, the Bayer Group’s sales rose by 1.2% (Fx & portfolio adj.) to €8.0 billion in the third quarter of 2017. Group EBITDA before special items increased by 4.1% to €2.2 billion. We achieved growth in sales and earnings at Pharmaceuticals, while business declined at Consumer Health, as expected. Sales at Crop Science and Animal Health rose, however, EBITDA before special items was down from the prior-year quarter.

Key Events

In September 2017, Bayer AG sold an additional 16.3% of Covestro shares, generating total proceeds of around €2.2 billion.

As a result of further reducing its interest in the company and concluding a control termination agreement, Bayer has ceded de facto control over Covestro AG. Accordingly, Covestro was deconsolidated at the end of the third quarter and presented as an associate for the first time. This resulted in a gain of €2.8 billion that was presented as income from discontinued operations after income taxes in the consolidated income statement.

On October 13, 2017, Bayer signed an agreement to sell selected Crop Science businesses to BASF for €5.9 billion in light of the planned acquisition of Monsanto. The assets to be sold include Bayer’s global glufosinate-ammonium business and the related LibertyLink™ technology for herbicide tolerance, a substantial part of the field crop seed businesses, as well as respective research and development capabilities. The transaction is subject to regulatory approval as well as the successful closing of Bayer’s acquisition of Monsanto. Bayer will continue to own, operate and maintain these businesses until the closing of this divestiture.

Cautionary Statement Regarding Forward-Looking Information

Certain statements contained in this communication may constitute “forward-looking statements.” Actual results could differ materially from those projected or forecast in the forward-looking statements. The factors that could cause actual results to differ materially include the following: uncertainties as to the timing of the transaction; the possibility that the parties may be unable to achieve expected synergies and operating efficiencies in the merger within the expected time-frames or at all and to successfully integrate Monsanto’s operations into those of Bayer; such integration may be more difficult, time-consuming or costly than expected; revenues following the transaction may be lower than expected; operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers, clients or suppliers) may be greater than expected following the announcement of the transaction; the retention of certain key employees at Monsanto; risks associated with the disruption of management’s attention from ongoing business operations due to the transaction; the conditions to the completion of the transaction may not be satisfied, or the regulatory approvals required for the transaction may not be obtained on the terms expected or on the anticipated schedule; the parties’ ability to meet expectations regarding the timing, completion and accounting and tax treatments of the merger; the impact of the refinancing of the loans taken out for the transaction, the impact of indebtedness incurred by Bayer in connection with the transaction and the potential impact on the rating of indebtedness of Bayer; the effects of the business combination of Bayer and Monsanto, including the combined company’s future financial condition, operating results, strategy and plans; other factors detailed in Monsanto’s Annual Report on Form 10-K filed with the SEC for the fiscal year ended August 31, 2016 and Monsanto’s other filings with the SEC, which are available at http://www.sec.gov and on Monsanto’s website at www.monsanto.com; and other factors discussed in Bayer’s public reports which are available on the Bayer website at www.bayer.com. Bayer and Monsanto assume no obligation to update the information in this communication, except as otherwise required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date.